The overall account balance (including booked profits and open positions) has hit fresh highs again this week. Since the start at the beginning of February, the return so far is +7.7% - on an annualized basis that would be around 18%.
For this update, rather than adding another trader, I am going to look at slightly dialling up that risk. At the moment I am following traders “1 for 1”. If they risk losing, for example, 2% of their account on any one trade then the trade is copied at the same percentage risk on my own account. Traders have to set stop losses - but in my experience so far most of these are quite wide and the traders tend to manually close trades at a profit or loss. The knock-on effect of these wider stop losses is a very low level of exposure on trades. This is perfectly fine but, as I am confident in the traders I am following, I thought it would be an interesting experiment to just start dialling that risk up a little. I can start this off by going into the “Portfolio Builder” page on ayondo.
I am going to nudge this up a little for all of my traders. By setting it at 6.0 it makes my effective risk factor 1.5. Now, for every trade that someone does, it will be carried out at 1.5 x the risk on my account. So, if Daxcall3 risks losing 1% of their account on a trade, it will be a 1.5% risk on my account.
That’s it for this time. If you would like to try this out for yourself you can open an account from as little as £1,000 by clicking here - and there is a demo account facility when you first start.
You can read the progress of this social trading account right from the beginning by clicking here.